Fuel Cells and Hydrogen: U.S. Policy Update

MECAAnnual Cape Cod Meeting

Robert Rose

H2 Policy Time Line01/02: Freedom Car09/02: “Path Forward” Published01/03: Bush State-of-the-Union: $1.7 Billion02/03: Building Museum Event

Budget Released 03/03: Dorgan Introduced $6.5 Billion Proposal04/03: H.R. 6 Approved by House

Abraham in agreement with EU

06/03: G-8 Ministers pledge cooperation on Codes and Standards

2003 Timeline Cont.

Energy Bill enacted? (50-50)Spending levels approved (?) (75-25)Fleet demonstration programs chosenH2, portable power, APU, stack research programs awardedInternational programs begin to be sorted (?)

FreedomCAR and Hydrogen Initiative

Goal: ! “Enable automotive manufacturers

and the energy industry to make a commercialization decision in 2015 regarding fuel cell vehicles and hydrogen infrastructure”

2004 Funding = $273M

FreedomCAR + Hydrogen Initiative

2003: ! FreedomCAR Fuel Cell + Hydrogen (part)

+ Selected Vehicle Programs = $150M2004:! FreedomCAR = Fuel Cell + Hydrogen (all)

+ Selected Vehicle Programs = $273M! Freedom Fuel = Fuel Cell + Hydrogen

Programs = $182M

Vehicle Related R&D

$91.1$74.5Freedom Car Vehicle

$77.5$104.2

$49.9$25.0

Fuel CellsHydrogen (part/all)

FY 2004 Request

FY 2003 Request

Program

$272.8$150Totals$57.5$9.0$337.3

$70.1$8.9$229

21St C. Truck “Other”Grand Totals

Hydrogen Initiative

2004 InitiativeFuel Cells + Hydrogen ResearchPrepare U.S. economy for transition to hydrogenR&D in production, delivery, storage and distribution“Accelerate” demonstrations$1.2B/5 years; $182M in FY 2004

Hydrogen: Major Programs

Expand hydrogen production and delivery research (higher efficiency, lower cost)! Hydrogen from renewables

Vehicle hydrogen storageInfrastructure technologies and validation! Power Parks to co-produce H2

Education Codes, standards, recommended practices

Hydrogen Programs

$4.0$0.0Nuclear H2 Initiative$11.5$3.0Coal/Gas Extraction

$5.8$3.0Education$16.0$4,8Safety/Codes$13.2$10.0Infrastructure$30.0$11.3Storage$23.0$11.8Production/DeliveryFY 2004FY 2003Sub-Program

$104.2*$43.9Totals

*Includes a small amount from other agencies.

Fuel Cell Vehicles: Major Programs

Cost reduction! Stack + System components

Distributed Systems ! PEM for power generation

Fuel Processor R&D ! On-board = Off-board

Outreach and Education

Fuel Cell Vehicles

$ 0.4$ 0.4Other$15.0$ 1.8Tech. Validation $19.0$25.3Fuel Processor$28.0$14.9Stack Components$ 7.5$ 7.5Distributed Energy$ 7.6$ 7.6Transport. SystemsFY 2004FY 2003Sub-Program

$77.5$57.7Totals

FreedomCAR and Other Vehicle Programs

10-year research programLaunched in 2003 by changing name of PNGV dropping hardware delivery goal and adding technology milestonesMany programs continue to focus on conventional systems$273M in FY 2004 + additional $57.5M for 21st Century Trucks and $9M “other”

“Future Gen:” Coal and Carbon Sequestration

$1 billion facility to produce electricity from coal with carbon sequestration Industry led consortium10-year program (5 years operation)“cutting edge technologies”275 MW output or equivalent ! H-2 burned in turbines or used in fuel cells! Possible use in refineries

22.2 23.533.7

50.0

70.0

7.5

7.5

37.041.941.5

7.80.9 2.6 3.7 5.1 9.5

12.019.5 21.5 21.1

0

10

20

30

40

50

60

70

80

'87 '88 '89 '90 '91 '92 '93 '94 '95 '96 '97 '08 '99 '00 '01 '02 '03 '04

Transportation Stationary

Fiscal Year

Dol

lars

in M

illion

s

REQUEST

DOE Fuel Cells for Transportation Funding History

DOE Hydrogen Funding History

Fiscal YearREQUEST

14.5 14.8 19.0 24.0 28.0 32.0 31.043.9

104.2

0

20

40

60

80

100

120

Dollars

in M

illions

Hydrogen 14.5 14.8 19 24 28 31.97 31 43.9 104.2

'96 '97 '98 '99 '00 '01 '02 '03 '04

Many Other Agencies

DOD/DARPA Agriculture DepartmentCommerce (ATP, NIST)EPA

At least 21 State Agencies Actively Support RE, Some With Explicit Focus

on Fuel CellsStates with Public Benefit Funds, Active Energy Offices or Economic Development Agencies with

Focus on Alternative Energy

Explicit focus and/or funding for fuel cells programs

Focus on alternative energy, but limited focuson fuel cells

Source: aceee, May 2002; CRE interviews

Hawaii

Alaska

SOURCE: cleanenergyfunds.org

Energy Bill Programs

$2 billion (House) to $3 billion (Senate) in authorityReauthorize Hydrogen Future Act! Research, demonstrations, advice

Education ProgramsUp to 2.5 cent/kwh generation subsidy (House Bill)

Energy Bill Programs

Demonstration Programs! Vehicles! Power generation! Portable power! National parks! Indian tribes! International! Renewable hydrogen

Energy Bill Programs

Fed fleet purchase requirements! Up to 20% in 2012

Power purchase requirementsTax subsidies! Vehicles! Distributed generation installations

Technology Highlights

Technology Highlights

Toyota and Honda are leasing vehiclesGM Clearly has the P.R. leadGM has backed off on-board reformingGM/Shell team to demonstrate small fleet in DC

Highlights

DOE proposes up to $240 million for demonstrations! ExxonMobil will not participate

CA FCP extends itself four more yearsHydrogen storage still key barrier

Personal Power

Microscale reformer from PNL contains a catalytic combustor, a steam reformer, two vaporizers, and a recuperative heat exchanger

Honda FCX

80 HP electric drive93 mph top speed3713 pounds!5000 psi H-2 storage >170 mile range

HondaFCX-V1

Metal Hydride1999

FCX-V2Methanol1999

FCX-V4Compressed H2

2001

FCXCompressed H22002

Toyota FINE-S

Toyota

FCHV-4Compressed H22001

FCHV-3Metal Hydride2001

FCHV-5CHF2001

RAV 4 FCEVMethanol

1997

FordTH!NK FC52000Methanol

Focus FCVCompressed H2

(3600 psi)2000

Advanced Focus FCV Compressed H2(5,000 psi)2002

Ford

Ready for production Focus FCEV HybridFuel cell/battery hybrid68 kW Ballard PEM stack320 km range128 km/hr top speed~50 mpg equiv.

Daimler ChryslerNECAR 5Methanol

2000

NECAR 4aCompressed H2

2000

NECAR 4LH21999

Jeep Commander 2Methanol

2000NatriumSodium Borohydride

2001

GM

HydroGen3LH22001

ZafiraMethanol

1998

PreceptMetal

Hydride2000

Chevy S-10CHF

(Low-Sulfur, Clean

Gasoline)2001

! Hermes Delivery Service, Germany (1 DCX)! City of L.A., CA (5 Honda)! Japanese Government Offices (1 Honda; 4 Toyota)! UC Irvine & Davis (6 Toyota)! Demonstration Programs

! CaFCP! Japan’s H2 & Fuel Cell Demo. Project

! FedEx, Tokyo, Japan (1 GM)! GM and Shell, Washington DC (6 GM)

EPA & CARB ZEV Certified

End-Users

GM! 75-kW hydrogen backup DG in 2005! Cost reductionFORD! ~40 FC fleet cars in 2004 in Germany & CA! Hydrogen ICEs at competitive prices in 2004! Ramp up to 50,000 by 2010 worldwide (4/02)DAIMLERCHRYSLER! 60 H2 FC fleet cars in worldwide starting in 2003

! 8 in Japan in early 2003! 15 in Singapore by early 2004! More in CA

HONDA! 30 H2 FC fleet cars over next 2-3 years in CATOYOTA! 1-kW Japanese residential DG in 2005! 20 H2 FC fleet cars worldwide

! 10 in CANISSAN! H2 FC fleet cars in 2003

Company Specifics

Fuel Cell Buses33 Citaro Hydrogen FC Buses! CUTE! ECTOS! STEP

CaFCP! SunLine! AC Transit! VTA

Toyota/Hino MotorsBVG in GermanyNatural Resources Canada (w/ Hydrogenics)

Government Projects

United States! FreedomCAR! The President’s Hydrogen Fuel Initiative! President Bush: mass produced FCVs by 2012-15

Europe! Developing road map! Share of 2.2 billion Euro research budget

Japan! Pushing the technology out! Laying groundwork for commercialization by 2005

! 50,000 FCVs by 2010! 5,000,000 FCVs by 2020

! 1 out of every 14